104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1342 Introduced 1/28/2025, by Sen. Donald P. DeWitte SYNOPSIS AS INTRODUCED: 230 ILCS 40/27230 ILCS 40/60 Amends the Video Gaming Act. Provides that a municipality with a population that is greater than or equal to 1,000,000 may not pass an ordinance prohibiting video gaming within the corporate limits of the municipality. Provides that, in such a municipality, video gaming may be prohibited only by referendum. Preempts home rule powers. Provides that a tax of 34% is imposed on net terminal income in such a municipality and shall be collected by the Illinois Gaming Board, of which 83% shall be distributed to the Regional Transportation Authority and 17% shall be distributed to the municipality in which the terminal is located. Makes conforming changes. LRB104 05603 LNS 15633 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1342 Introduced 1/28/2025, by Sen. Donald P. DeWitte SYNOPSIS AS INTRODUCED: 230 ILCS 40/27230 ILCS 40/60 230 ILCS 40/27 230 ILCS 40/60 Amends the Video Gaming Act. Provides that a municipality with a population that is greater than or equal to 1,000,000 may not pass an ordinance prohibiting video gaming within the corporate limits of the municipality. Provides that, in such a municipality, video gaming may be prohibited only by referendum. Preempts home rule powers. Provides that a tax of 34% is imposed on net terminal income in such a municipality and shall be collected by the Illinois Gaming Board, of which 83% shall be distributed to the Regional Transportation Authority and 17% shall be distributed to the municipality in which the terminal is located. Makes conforming changes. LRB104 05603 LNS 15633 b LRB104 05603 LNS 15633 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1342 Introduced 1/28/2025, by Sen. Donald P. DeWitte SYNOPSIS AS INTRODUCED: 230 ILCS 40/27230 ILCS 40/60 230 ILCS 40/27 230 ILCS 40/60 230 ILCS 40/27 230 ILCS 40/60 Amends the Video Gaming Act. Provides that a municipality with a population that is greater than or equal to 1,000,000 may not pass an ordinance prohibiting video gaming within the corporate limits of the municipality. Provides that, in such a municipality, video gaming may be prohibited only by referendum. Preempts home rule powers. Provides that a tax of 34% is imposed on net terminal income in such a municipality and shall be collected by the Illinois Gaming Board, of which 83% shall be distributed to the Regional Transportation Authority and 17% shall be distributed to the municipality in which the terminal is located. Makes conforming changes. LRB104 05603 LNS 15633 b LRB104 05603 LNS 15633 b LRB104 05603 LNS 15633 b A BILL FOR SB1342LRB104 05603 LNS 15633 b SB1342 LRB104 05603 LNS 15633 b SB1342 LRB104 05603 LNS 15633 b 1 AN ACT concerning gaming. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Video Gaming Act is amended by changing 5 Sections 27 and 60 and by adding Section 63 as follows: 6 (230 ILCS 40/27) 7 Sec. 27. Prohibition of video gaming by political 8 subdivision. 9 (a) A municipality, other than a municipality with a 10 population that is greater than or equal to 1,000,000, may 11 pass an ordinance prohibiting video gaming within the 12 corporate limits of the municipality. A county board may, for 13 the unincorporated area of the county, pass an ordinance 14 prohibiting video gaming within the unincorporated area of the 15 county. 16 (b) On and after July 1, 2022, a qualified fraternal 17 organization that derives its charter from a national 18 fraternal organization and a qualified veterans organization 19 that derives its charter from a national veterans organization 20 shall be eligible to apply to the Board for a license allowing 21 video gaming as a licensed fraternal establishment or a 22 licensed veterans establishment if the proposed fraternal 23 establishment or veterans establishment is located in: 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1342 Introduced 1/28/2025, by Sen. Donald P. DeWitte SYNOPSIS AS INTRODUCED: 230 ILCS 40/27230 ILCS 40/60 230 ILCS 40/27 230 ILCS 40/60 230 ILCS 40/27 230 ILCS 40/60 Amends the Video Gaming Act. Provides that a municipality with a population that is greater than or equal to 1,000,000 may not pass an ordinance prohibiting video gaming within the corporate limits of the municipality. Provides that, in such a municipality, video gaming may be prohibited only by referendum. Preempts home rule powers. Provides that a tax of 34% is imposed on net terminal income in such a municipality and shall be collected by the Illinois Gaming Board, of which 83% shall be distributed to the Regional Transportation Authority and 17% shall be distributed to the municipality in which the terminal is located. Makes conforming changes. LRB104 05603 LNS 15633 b LRB104 05603 LNS 15633 b LRB104 05603 LNS 15633 b A BILL FOR 230 ILCS 40/27 230 ILCS 40/60 LRB104 05603 LNS 15633 b SB1342 LRB104 05603 LNS 15633 b SB1342- 2 -LRB104 05603 LNS 15633 b SB1342 - 2 - LRB104 05603 LNS 15633 b SB1342 - 2 - LRB104 05603 LNS 15633 b 1 (1) a municipality having a population of not more 2 than 1,000,000 that has enacted an ordinance prohibiting 3 video gaming within the corporate limits; or 4 (2) a county having a population of not more than 5 1,000,000 that has enacted an ordinance prohibiting video 6 gaming within the unincorporated area of the county. 7 If the license is granted by the Board, then the licensed 8 fraternal establishment or licensed veterans establishment may 9 operate video gaming terminals pursuant to this Act. 10 (c) A municipality with a population that is greater than 11 or equal to 1,000,000 may not pass an ordinance prohibiting 12 video gaming within the corporate limits of the municipality. 13 In such a municipality, video gaming may be prohibited only by 14 referendum under Section 70. A home rule municipality with a 15 population that is greater than or equal to 1,000,000 may not 16 regulate video gaming within the corporate limits of the 17 municipality in a manner that is inconsistent with this 18 subsection (c). This subsection (c) is a limitation under 19 subsection (i) of Section 6 of Article VII of the Illinois 20 Constitution on the concurrent exercise by home rule units of 21 powers and functions exercised by the State. 22 (Source: P.A. 102-689, eff. 12-17-21.) 23 (230 ILCS 40/60) 24 Sec. 60. Imposition and distribution of tax. 25 (a) Except in a municipality with a population that is SB1342 - 2 - LRB104 05603 LNS 15633 b SB1342- 3 -LRB104 05603 LNS 15633 b SB1342 - 3 - LRB104 05603 LNS 15633 b SB1342 - 3 - LRB104 05603 LNS 15633 b 1 greater than or equal to 1,000,000, a A tax of 30% is imposed 2 on net terminal income and shall be collected by the Board. 3 Of the tax collected under this subsection (a), 4 five-sixths shall be deposited into the Capital Projects Fund 5 and one-sixth shall be deposited into the Local Government 6 Video Gaming Distributive Fund. 7 (b) Except in a municipality with a population that is 8 greater than or equal to 1,000,000, Beginning on July 1, 2019, 9 an additional tax of 3% is imposed on net terminal income and 10 shall be collected by the Board. 11 Except in a municipality with a population that is greater 12 than or equal to 1,000,000, Beginning on July 1, 2020, an 13 additional tax of 1% is imposed on net terminal income and 14 shall be collected by the Board. 15 Beginning on July 1, 2024, an additional tax of 1% is 16 imposed on net terminal income and shall be collected by the 17 Board. 18 The tax collected under this subsection (b) shall be 19 deposited into the Capital Projects Fund. 20 (b-5) In a municipality with a population that is greater 21 than or equal to 1,000,000, a tax of 34% is imposed on net 22 terminal income and shall be collected by the Board. Of the tax 23 collected under this subsection, 83% shall be distributed to 24 the Regional Transportation Authority and 17% shall be 25 distributed to the municipality in which the terminal is 26 located. SB1342 - 3 - LRB104 05603 LNS 15633 b SB1342- 4 -LRB104 05603 LNS 15633 b SB1342 - 4 - LRB104 05603 LNS 15633 b SB1342 - 4 - LRB104 05603 LNS 15633 b SB1342 - 4 - LRB104 05603 LNS 15633 b